Wilsonville slashes development incentives

Wilsonville, which has experienced reams of development thanks largely to its Interstate 5 location and abundance of available commercial properties, has jettisoned three of its six tax increment financing zones.

The reason: The properties within the zones have been sold or leased for uses not consistent with the TIF Zone program.

At its meeting on Monday, the Wilsonville City Council unanimously approved the termination of the single-property urban renewal districts.

TIF zones are areas that the city government considers so blighted that they will not attract private investment without government intervention. When the city creates an urban renewal area, it essentially draws an imaginary line around an area that it wants to revitalize. When property taxes in the area rise, the new property tax revenue is redirected to support capital projects in the district. Critics argue urban renewal takes money away from schools and other essential public services.

“By closing down three of the six TIF Zones, the city is demonstrating responsible use of urban renewal since those three large buildings are not to be used for manufacturing,” said Mayor Tim Knapp.

“The remaining three TIF Zones, however, are attracting interest from a number of major manufacturing employers who are taking a look at Wilsonville as a potential location to set up shop."

The council also adopted the Charbonneau Consolidated Improvement Plan as part of the city’s Capital Improvement Plan. The city will now study funding strategies to pay for all the projects in both plans, including spot repairs to the French Prairie Drive pathway.

The approval does not include other major changes to the pathway that were included in the first draft the plan. The council will undertake more public consultation before deciding on the path’s long-term future and how any necessary funds will be raised.